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Surprise! Bureaucratic Program Bogged Down by Bureaucracy

The “wildly successful” Cash for Clunkers program is creating major headaches for auto dealers, even in the Triangle. As noted in this WRAL.com story:

“We sold a lot of cars. The program was successful, and the only part that is a downfall is getting the money from the government. It’s been very slow and frustrating,” said Bill McNamara, with Auto Park Honda-Cary.

McNamara said the paperwork, along with the wait for government reimbursement, had been a hindrance for the 2100 Auto Park Blvd. dealership.

“One customer came in and wanted to know what do I have to do to qualify for the Cash for Clunkers. We told him, ‘You need to have patience because the paperwork takes a lot of time,’” McNamara said.

The extra paperwork was particularly time consuming since it had to fit the federal guidelines exactly or it was rejected, McNamara said.

So a relatively small and simple program such as Cash for Clunkers is mismanaged and crippled by government red tape. Imagine how this would translate to the much larger and complex process of medical care reimbursements in a government system. Statists like to make the bogus claim of all the “administrative savings” that could be achieved under a government insurance plan, but they overlook the administrative burden imposed on the providers – a burden built into the costs of medical care provision.

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